Regarding the first, the Center for Argentine Political Economy (CEPA) pointed out that May shows an inflation-adjusted year-on-year growth of 26.9%, this being the best figure since April 2021. “Discounting the months of June and October 2021, this is a real growth trend for this 18-month tax,” indicates CEPA. The entity points out that “this result shows a good performance in terms of collection while showing the impact of the postponement of tax maturities the previous year.”
In relation to VAT, the report maintains that “it shows an increase in real terms of 8.5% year-on-year” and highlights that “the succession of months with positive figures for this tax adds up to seventeen with the exception of October 2021”.
Regarding taxes related to foreign trade, withholdings on exports produced resources for $130,006 million, that is, 42.8% more in nominal terms than last year, while import tariffs and statistical rates left $45,166. million with a strong increase of 71.3%.
One thing to keep in mind regarding economic activity is the behavior of the Tax on Bank Debits and Credits. In May, it collected $92,827 million, a figure that is 58.6% higher than that of the same month in 2021. Unlike VAT, which expresses the behavior of the previous month’s billing, the “check tax” reflects what happened in the same month. In this case, it would be slightly below the 12-month inflation or equal, so it may indicate a slowdown in activity.
In the case of social security taxes, personal contributions generated $121,063 with a nominal year-on-year increase of 73.9%, while employer contributions contributed $179,008 million, with an improvement of 75.6%. “Both wage improvements and registered employment growth persist as the factors that explain this expansion,” they indicated in the Ministry of Economy.
Meanwhile, the Country Tax related to the purchase of dollars for hoarding, purchases with cards abroad or tourism, grew 330% compared to last year. It grossed $23.681 million, showing strong growth.
Carlos Lamiral
Source: Ambito
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